11:13 AM
Kholid Al Fakhry
Saving money is a daunting task. It is easy to say “I am going to save money from now on”. Unfortunately, not all who promised such was able to make it come true. There are challenges along the way. And such challenges had proven to be extremely tough. Hence, the issue of how to save money is a real challenge.
One of the basic ways to save money is to create a reasonable objective. Make sure you control your expenses. And make sure you get good value for your money. By getting good value of your money, it means not wasting your hard earned dollar for a low rate product.
But then, it also means that you should spend your money for items that you really need. Bear in mind that spending is not dependent on a whim. It is according to needs. Hence, when buying a product or service, ask this question to yourself. Do I need this product or service? Or do I just want it and might not get what I pay for?
If you want to save money, make sure you have a goals. You need to have both a short term and a long term goal. For instance: I want to be able to start a small business a year from now. The capital should not be a overly large amount since you will start with a small business and grow it over time.
The first step is to identify your business and compute how much is the capital that you will need in order to start with your business. The figures that you will come up with should be based on a thorough feasibility study. Avoid hunches or guessing. Once you come up with your capital, record it. That amount of your capital is going to be your target or goal.
If you want to raise your capital in one year period, compute how much you must save in 12 months. Saving on a monthly basis will be easier. You should set a realistic goal and expectation. Your current income should be able to sustain your monthly saving.
What if you can not afford the amount for the monthly savings?
You should adjust if you can not sustain the monthly target. One alternative is to lengthen your time frame. Make your target 1 ½ to 2 years if necessary.
Start to make your adjustments as well. Trace and take note of your expenses. Keep a notebook and write them down. Make a detailed notation of your every day expenses. Do not leave even the smallest detail. Most often than not, there are expenses that are not really necessary. And usually, this shabby item carries the most weight out from your expenses. You should be able to determine what is important and which are just whims.
Examine your expenses and determine those that you could possibly remove from your expenses. For instance: Do your own manicure instead of going to a salon. Check your utilities like cables or satellite TV. If you could settle for regular cable and cut the HD access, it could add a few dollars back to your pocket.
How about the paid channels that you are not really watching? Why pay for those that you are not really watching in the first place? Further, conserve energy by turning the lights off if they are not being used. Bottom line is to make sure you are really using the items and the utilities that you are paying for.
Create your budget list. Having a budget helps you to control your expenses. There is going to be lesser chance of over spending. Also, you will be mindful of what you are spending because your spending money is set at a certain limit. A budget can also make sure that what you surchase is only those things that you need.
Saving money will take a proper and accurate evaluation of your current financial capabilities versus your future aspirations. It is important that you can balance the two in order to be able to make the most out of what you have now.
Think about this, saving money can ensure that you are secure in your future. It helps you to really think about your current and future financial situation. Through this type of thinking, you will no longer find the issue on how to save money a great challenge.
